Weekly expositor. (Brockway Centre, Mich.) 1882-1894, 1887-12-15
A REFORM MESSAGE.
The Financial Question Plainly
Stated and FOrcibly Discussed.
Taxation Must be Immediately Re-
duced.

yucca.
All Other Questions OF Minor Importance.
The following is the full text of President
Cleveland's annual message sent to Con-
gres Dec. 81
10 The Congress of the Tinted States:
You are confronted at the threshold OF
your legislative duties, with a condition
of the II ,tional finances which imperative
ly demands immediate and careful consid-
Grafton. The amount of money annually
recei 81, through the operation OF the
present laws, from the industries and ne
cessitIes of the people, largely exceeds the
sum ne essary to meet the expenses of the
government. W hen We consider the theory
OF our institutions guarantees to every
citi. en- the fruits OF his industry and en-
terprise, with only sucn deduction as may
he his sh ue towards the careful and
economical main enauce of the govern
ment which protects him, il is plain that
the exaction of more than this is indefen-
sible ana culpable .e.rayal of fairness
and justice.
WIS OF OvrR-TAxATION.
This wrong inflicted upon those who
bear the burden OF natiJnai taxation, like
other wron -, multiplies a brood of taxa
tion aud evil conse ,uences. The public
treasury, which should only exist as q
conduit conveying the peoples tribute to
its legitimate OBJ ects OF expenditure, be-
comes boarding place for money need
tessly withdrawn from trade and the peO-
PIE uses, Gripping our ndtlOnal eu6T-
gies, usurping our country's development,
preventing investment in productive en-
terprises, threatening financial disturb
c.""e and inviting schemes of public plum
der.
lis condition of our treasury is not a.
together new, and it has more than once
of late been submitted to the peoples
representatives III congress, who alone can
apply remedy, and yet the situation still
continues with aggravative incidents more
than ever pressing financial CONFUSION
and widespread disaster.
MUST not IGNORE THE DANGER.
1t will no do to neglect this situation
because its dangers are not now pal pably
imminent and apparent. They exist none
the less ertainly, ana the unforeseen and
unexpected occasion will come when sud
denly they will te precipitated upon us.
On the 9th day of :, une, loo, the excess of
complying with the annual re tuirement
of the sinking fund act, was $l7,SoJ, 100 ~.
DurIn the year ended June 81, lSe6, such
excess amounted to 81, ,O5, 545 20, and
reached the sum of $o5567, o4y "a. The an
nual contributions to the sinking fund
during the three years above specified,
amounting in the aggregate TO
$l3SU,o,3 y 81, and deductions from the
surplus as stated were made by calling in
for that purpo odtst nding three per
cent bonds of the government.
MEASURES FOR RELIEF IA EN-.
During the six months prior to June 80,
1887, the surplus revenue had grown so
large by represented accommodations and
IL was feared the withdrawal of this great
sum of money, needed by the people,
wou d so ect the business OF the coun
try, that the sum Of ). ,c64, 100 or such sur
plus was applied to the payment OF the
principal and interest of three per cent.
bonds still outstanding and which were
then pay able at the option of the govern
ment. The precarious condition OF Imam
cial affairs among the people still needing
relief, Immediately after the 3Oth day of
June, 1887, the remainder of the three per
cent. bonds then outstanding amounting,
with principal and interest, to the sum of
SIS, 1850, were called in and applied to
the sinking fund contribution Tor the cur
rent seal year. Notwithstanding these
operations OF the treasury department.,
representations OF distress in business cir
cles not only continued but increased, and
absolute peril seemed near at hand. In
these circumstances, the contribution to
the snkinG Iund for the current fiscal
year was at once completed by the ex
penditure OF S2I0S4, $3.50, in the purchase
of government bonds not yet due, bearing
four and four and a half per cent. interest,
the premium thereon averaging about %
per cent for the former and per
cent for the latter. In addition to this
the interest account accruing during the
current year upon the outstanding bonded
Indebtedness of the government was to
some extent an ticipated, anu banks select
ed as repositories of pubic money were
permitted to somewhat increase their de-
posits.
STILL THE SURPLUS GROWS.
While the expedients thus employed to
release to the people the money lying in
the treasury saved to avert immediate
danger. our surplus revenues nave contin-
ued to accumulate the excess for the
present year amounting on the first day
of December to 900, - ,o1.lJ, and estimat-
ed to reach the sum of $ll3,000,OO on the
10Th of June next, at which date it Is ex-
pected that this sum, added to prior accu-
mutations, will swell the surplus in
the treasury to $14L0O0,O00. There
seems to be no assurance that, with
such withdr wal from use OF the p CO.
ple's circulating medium, our business
community may not in the near future
be subjected to the same distress which
was quite lately produced from the same
cause, and while the functions Of our ma
tional treasury should be few and simple,
and while its best condition would be
reached, l believe, by its entire discon-
nection with private business interests,
yet when, by pervefsion of its purpo5 es,
it idly holds money uselessly subtracted
from the channels of trade, there seems
to be reason for the claim that legitimate
means should be devised by the govern
ment 20 restore, in an emergency without
waste or extravaganza. such money to its
place among the people.
NO EXECUTIVE MEASURE OF RELIEF.
IL such an emergency arises, there now
exists no clear and undoubted executive
power of relief Heretofore the redemp-
ton of the three per cent bonds only,
which we're payable at the option of the
government, has afforded a means for the
disbursement of the excess of our reve-
nues; but these bonds have all been re-
tired, and there are no bonds outstanding
the payment OF which we have the right
to insist upon. The contribution to the
sinking fund which furnishes the occasion
for expenditures in the purchase OF bonds,
has been already made for the current
year, so there is no outlet in that direc-
ton. In the present state OF legislation
the only pretense OF any existing execu-
tive power to restore at this time, any
part of our surplus revenues to the people
by its expenditure, consists in the suppo-
sition that the secretary of the treasury
may enter the market and purchase the
bonds of the government not yet due, at a
rate of premium to be agreed upon. The
only provision Of law from which such a
power could he derived IS found In an APP
preparation bill, passed number OF years
ago, and it Is subject TO the supposition
that it was intended rs temporary an
limited in its application, instead OF
comforting continuing discretion and